Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, which sectors he plans to extend the UK Emissions Trading Scheme to; and what criteria he plans to use in deciding those sectors.

The UK Emissions Trading Scheme (UK ETS) replaced the UK’s participation in the EU ETS on 1 January 2021. The UK ETS initially applies to energy-intensive industries, electricity generation and aviation.

In the Energy White Paper, we committed to exploring expanding the UK ETS to the two thirds of uncovered emissions, including how the UK ETS could incentivise the deployment of greenhouse gas removal technologies. We will set out our aspirations to continue to lead the world on carbon pricing in the run up to COP26.